An exchange traded fund version of Pimco Total Return Fund is reportedly moving closer to receiving regulatory approval that could allow the eagerly anticipated ETF to launch in 2012.
A dozen actively managed ETFs in the development pipeline are weeks away from clearing a major obstacle to launching, Ignites reported this week.
Pimco, State Street Global Advisors, Russell Investments, AdvisorShares, Guggenheim Investments and WisdomTree may soon get the green light from the Securities and Exchange Commission to list active ETFs previously filed by the asset managers, according to the article.
“Approval of the rule change under Section 19b-4 of the Exchange Act of 1934 is usually the last regulatory step for an active ETF to launch,” Ignites reported. “But it is unclear whether the sponsors will bring the products to market immediately after receiving approval.”
A Pimco spokesman told Ignites the NYSE has filed a 19b-4 application for Total Return ETF, but added the launch date of the product hasn’t been finalized.
Pimco Total Return Fund holds over $240 billion in assets and is piloted by noted bond fund manager, Bill Gross.